After a significant swing back to the downside on Wednesday, the gold miners are fighting back, with the ETF of GDX, closing with very strong gains of 4.4% @ $25.85. Perhaps most important, today was the second daily close above the 200 MA this week.
*Normally I try to highlight a different stock every day of the trading week, but the action in the miners (my favourite sector) is something that does merit extra attention. With the break above the 200 day MA on Tuesday (the first time since Jan'2013)...this is an important time.
So..a second daily close above the 200 day MA in 3 days, and the miners - along with precious metals, are showing the first real strength since last July/August.
However, unlike last summer, the bigger monthly cycles are much more supportive of the current move.
Best guess..this is month'3 of a 4-6 month up cycle. I'm still concerned that Gold will eventually have to test the big $1000 psy level, before a multi-year low is in.